Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Foreign Affairs Discussion Group -- Ignore unavailable to you. Want to Upgrade?

To: KyrosL who wrote (182807)	3/3/2006 12:37:05 PM
From: michael97123	Respond to of 281500

And i think there is favorable treatment of vat tax as oppposed to sales or income for international trade purposes. It gives them a current advantage over the US as a non vat country. 18% on top of current average 6% state sales would trigger a recession if done in one shot. You have to make its immplementation revenue neutral so you would have to phase out the Income Tax more or less while you phased in VAT. VAT would be a giant hit on growth if you did it all at once. It takes awhile for IT reduction to offset VAT effect.